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2024 (5) TMI 454 - AT - Income TaxExemption u/s 11 - Claim denied on account of delay in filing of the audit report in Form 10B - HELD THAT - Considering CBDT firstly came up with a Notification dt. 03/01/2020 authorising the Commissioners to admit applications of condonation of delay in filing Form No. 10B for AY 2018-19 and subsequent AY where there is a delay of up to 365 days. Subsequently on 19/07/2022 i.e. after the end of the Covid Pandemic restrictions again a Circular 16/2022 was issued where the delays in filing of Form 10B beyond 365 days but upto three years were also directed to be considered for admitting the application for condonation of delay. This Circular in itself shows that the Income-tax Department was aware about the technical glitches and the problems faced by the tax-payers in furnishing various types of Forms including Form No. 10B is with regard to the furnishing of audit report in case of Trusts and Societies. In the instant case since delay is merely 28 days we find that the said delay deserves to be ignored in larger interest of justice. The assessee is thus entitled to claim exemption u/s 11 of the Act made in the Income-tax return e-filed by it. We further fund support from the decisions of Bangarh Educational Welfare Trust 2022 (1) TMI 1321 - ITAT KOLKATA wherein also similar issue was raised for AY 2018-19 and the return was filed within time limit prescribed u/s 139(1) of the Act but there was a delay in furnishing of the audit report on Form 10B and this Tribunal after considering the facts of the case as well as judicial precedents allowed the benefit of Section 11 12 of the Act to the assessee. We allow the benefit of Section 11 to the assessee as claimed in the income tax return. Accordingly the effective grounds raised by the assessee are allowed.
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